Analysis

Prediction Markets' High Court Clash Looks More Imminent

By Alex Lawson

The widespread clash over whether the regulation of prediction markets falls under federal or state jurisdiction was bound to land in the U.S. Supreme Court, and a new circuit split and urgent policy questions may force the justices' hands to take up the issue.

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Abbott Can Move Baby Formula Death Suit Out Of Illinois

By Y. Peter Kang

An Illinois state appeals court on Friday ordered the dismissal of a product liability suit alleging Abbott Laboratories' Similac formula caused a premature Florida infant's fatal case of necrotizing enterocolitis, finding the case belongs in Florida rather than Chicago's Cook County.

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DC Circ. Nixes Energy Dept.'s Order To Keep Coal Plant Open

By Keith Goldberg

The D.C. Circuit on Friday wiped out a U.S. Department of Energy order to keep open a Michigan coal-fired power plant slated for retirement, saying it represents an unjustified expansion of the agency's emergency authority under the Federal Power Act.

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Brief

Ill. Judge Makes Adviser's $3.2M Loan Fraud Judgment Official

By Lauraann Wood

An Illinois federal judge on Friday accepted a proposed judgment that will permanently bar a Chicago-based investment adviser from securities trading and require him to pay a $3.2 million disgorgement and civil penalty over an alleged high-return loan scheme.

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Magic Spoon Is Healthwashing Protein Cereals, Suit Says

By Gina Kim

Magic Spoon Inc. was hit with a proposed class action Thursday in Illinois federal court claiming the company falsely labels its protein cereals as "0 added sugar" and "no added sugar" despite the presence of allulose, which the Seventh Circuit recently determined to be a sugar under federal regulations.

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3M Wants Conn. Firefighter PFAS Suit Moved To Different MDL

By Aaron Keller

3M Co. has asked to peel PFAS "forever chemicals" claims by Connecticut firefighter unions and several individuals away from a recently empaneled Minnesota multidistrict litigation containing claims by municipalities who purchased firefighting turnout gear, arguing the unions' and individuals' allegations instead belong in an ongoing South Carolina MDL.

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7th Circ. Probes Ill. Nonprofit Demographic Disclosure Law

By Celeste Bott

A Seventh Circuit panel wrestled Friday with whether Illinois' law requiring nonprofits to publicize their demographic data merely encourages diversity or unconstitutionally compels speech, with one judge questioning whether its "nudging effects" establish an injury while another highlighted legislators' statements indicating a push to influence leadership or donor decisions.

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Retailers Must Navigate State Innocent-Seller Law Patchwork

States' innocent-seller statutes can shield nonmanufacturing retailers from product liability claims to varying degrees, and by building the evidentiary record strategically throughout discovery, companies can improve their chances of obtaining summary judgment — but it is essential to stay abreast of the rapidly evolving policy environment, say attorneys at Chamberlain Hrdlicka.

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Attorneys Using AI May Have Ethical Duty To Redact Docs

The trajectory of legal ethics guidance in recent years strongly suggests that as redaction technology becomes more accessible, the failure to use it when uploading highly confidential materials into artificial intelligence tools will become increasingly difficult to defend as reasonable, say attorneys at Lewis Brisbois.

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Big Biz Coalition Backs Litigation Funding Disclosure Rule

By Ryan Boysen

Big U.S. businesses and insurers like Amazon, Anthropic, Chubb and Walmart asked the federal judiciary on Monday to tighten disclosure requirements for litigation finance, claiming the lack of guardrails allows funders to operate "in the shadows."

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Indiana Atty Hit With $10K Sanction Over False Citations

By Andrea Keckley

An Indiana federal judge on Friday adopted a magistrate judge's recommendation to sanction a local attorney $10,000 after finding that five briefs in a consumer credit case included citations to nonexistent cases.

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Jackson Lewis Removes Ex-Atty's Bias Suit To Federal Court

By Patrick Hoff

Jackson Lewis PC has moved a former associate's suit accusing the firm of refusing to accommodate her temporary work restrictions following her medical leave to California federal court, saying state court wasn't the right venue for dispute.

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Bove Rejects Recusal Bid Tied To DOJ Whistleblower Claims

By Courtney Bublé

U.S. Circuit Judge Emil Bove declined Monday to recuse himself in a Third Circuit immigration case, saying the attorneys for the petitioner are "recycling a failed pre-confirmation political smear" on him.

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State Farm Attorney Sanctioned $999.99 For AI Hallucinations

By Jonathan Capriel

An attorney for State Farm who filed several motions citing nonexistent cases and fabricated quotes generated by AI software must pay a $999.99 sanction, a Los Angeles judge ruled, an amount one cent below the threshold that would have triggered a mandatory notice to the State Bar of California under state law.

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Brief

Ex-Moses & Singer Partner Gets 10 Months For Tax Crimes

By Craig Clough

A Connecticut federal judge Monday sentenced a former Moses & Singer LLP partner to 10 months of imprisonment and ordered him to pay more than $3.1 million for failing to file personal income tax returns, the U.S. attorney's office announced.

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Catching Up With Delaware's Chancery Court

By Jarek Rutz

The Delaware Chancery Court this past week saw disputes over allegedly fabricated board approvals at a telecom infrastructure startup, insider trading and child safety at Roblox Corp. and ownership of artificial intelligence technology used in legal proceedings.

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